This Non-Disclosure Agreement For Auditors is essential for protecting confidential information during audit engagements in Canada. It should be used whenever an organization engages external auditors who will have access to sensitive financial, operational, and business information. The agreement complies with Canadian federal and provincial privacy laws, professional auditing standards, and securities regulations. It covers various aspects of confidentiality including handling of working papers, client data protection, and regulatory disclosure requirements. The document is designed to balance the auditor's need to access information for conducting effective audits with the organization's requirement to protect sensitive data.
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1. Parties: Identification of the disclosing party (company) and receiving party (auditor/audit firm), including full legal names and addresses
2. Background: Context of the agreement, including the nature of the audit engagement and purpose of information sharing
3. Definitions: Clear definitions of key terms including 'Confidential Information', 'Audit Services', 'Working Papers', 'Authorized Personnel', and 'Professional Standards'
4. Scope of Confidential Information: Detailed description of what constitutes confidential information in the context of the audit engagement
5. Confidentiality Obligations: Core obligations regarding the protection and non-disclosure of confidential information
6. Permitted Use: Specific permitted uses of confidential information for audit purposes
7. Security Measures: Required security measures for protecting confidential information
8. Professional Standards Compliance: Recognition of and compliance with applicable professional auditing standards
9. Return or Destruction of Information: Requirements for handling confidential information after the engagement ends
10. Term and Termination: Duration of the agreement and termination provisions
11. Regulatory Compliance: Provisions addressing regulatory disclosure requirements and compliance
12. General Provisions: Standard provisions including governing law, jurisdiction, and entire agreement
1. Data Protection Standards: Additional section for specific data protection requirements when dealing with personal data under PIPEDA
2. International Transfer: Section required when audit involves cross-border transfer of information
3. Subcontractors: Section needed when audit firm may need to engage other professionals or firms
4. Insurance Requirements: Section specifying required insurance coverage for information security incidents
5. Conflict Resolution: Detailed dispute resolution procedures beyond standard jurisdiction clause
6. Specific Industry Requirements: Additional provisions for regulated industries (e.g., financial institutions, healthcare)
1. Schedule A - Description of Audit Services: Detailed description of the audit services to be provided
2. Schedule B - Security Protocols: Specific security measures and protocols to be followed
3. Schedule C - Authorized Personnel: List of authorized personnel who may access confidential information
4. Appendix 1 - Data Handling Procedures: Detailed procedures for handling, storing, and transmitting confidential information
5. Appendix 2 - Incident Response Plan: Procedures to be followed in case of data breach or security incident
Authors
Relevant legal definitions
Clauses
Relevant Industries
Financial Services
Manufacturing
Technology
Healthcare
Retail
Energy
Mining
Professional Services
Real Estate
Telecommunications
Non-Profit Organizations
Public Sector
Education
Transportation
Consumer Goods
Relevant Teams
Finance
Accounting
Internal Audit
Legal
Compliance
Risk Management
Treasury
Tax
Corporate Governance
Executive Leadership
Information Technology
Human Resources
Relevant Roles
Chief Financial Officer
Financial Controller
Audit Partner
Senior Auditor
Audit Manager
Internal Audit Director
Compliance Officer
Risk Manager
Corporate Secretary
Finance Director
Accounting Manager
Treasury Manager
Tax Director
External Auditor
Legal Counsel
Chief Executive Officer
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